Under what circumstances does City Wide have the right to enter the franchisee's location without notice?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee will cause the proper copyright notice to appear on all copies of all materials promulgated by CITY WIDE, including any printed copies of CITY WIDE's Operating Manual.
- 7.28 Insurance. Franchisee shall keep the Franchised Business, and all proprietary equipment and other equipment adequately insured with the coverages and policy limits as set forth in the Operating
Manual, and as from time to time modified by CITY WIDE therein and as required by National Account Contracts.
- 7.29 CITY WIDE's Right to Enter. Franchisee hereby grants to CITY WIDE and its agents the right to enter upon the Location, without notice, at any reasonable time for the purpose of conducting inspections of the Location, Franchise Owner's Business Records (as defined in Section 11) including but not limited to its books, records and register tapes, and Franchisee agrees to render such assistance as may reasonably be requested and to take such steps as may be necessary immediately to correct any deficiencies detected during such an inspection upon the request of CITY WIDE or its agents.
- 7.30 Possible Variability. Because complete and detailed uniformity under many varying conditions may not be possible or practical, and in order to remain competitive and respond to new technology, customer needs and market conditions, CITY WIDE specifically reserves the right and privilege, at its sole and absolute right and as it may deem in the best interests of all concerned in any specific instance, to vary standards for any franchise owner based upon the peculiarities of a particular site or circumstance, density of population, business potential, population of trade area, existing business practices or any other conditions which CITY WIDE deems to be of importance to the successful operation of such Franchisee's business.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, there are a few circumstances where City Wide can enter a franchisee's location without prior notice.
First, City Wide and its agents have the right to enter the franchisee's location without notice at any reasonable time to conduct inspections of the location and the Franchise Owner's Business Records. This includes books, records, and register tapes. The purpose of these inspections is to ensure the franchisee is operating in accordance with the quality control provisions and performance standards established by City Wide. The franchisee is expected to provide assistance and immediately correct any deficiencies found during these inspections.
Second, if a franchisee defaults on their obligations under the franchise agreement, City Wide has the right to enter the premises to remove and repossess any products and goods in which City Wide has a security interest, without notice to the franchisee. The franchisee waives any claims related to City Wide entering and removing items under these circumstances.
Finally, in the event of default, City Wide can enter the premises of the Franchised Business and exercise complete authority with respect to its operation until City Wide determines that Franchisee's default has been cured and that there is compliance with the requirements of this Agreement.